5/14. The Federal Communications Commission (FCC)
adopted, but did not release, a Second Further Notice of Proposed Rulemaking (2ndFNPRM)
regarding its reauction of spectrum following the failure of the D Block component of
Auction No. 73.

The FCC issued a short
release [2 pages in PDF] that describes this 2ndFNPRM. Each of the five
Commissioners released statements.

The D Block is 10 megahertz of paired spectrum (758-763 MHz and 788-793 MHz). It was to have been
auctioned in the 700 MHz auction as one nationwide license, subject to a Public/Private
Partnership. That is, the plan was for a commercial licensee to build a nationwide broadband
interoperable network for use by public safety entities. This licensee would then have
had preemptible secondary access to the spectrum.

The FCC closed this auction on March 18, 2008. However, no bidder bid the
reserve price for the D Block.

The public safety sector already has 97 megahertz of spectrum, much of which is unused.
But, this sector has not developed an interoperable broadband network.

Commissioner Robert McDowell
wrote in his
statement [PDF] that "we tried something and failed at it. Now we're back to the
drawing board".

Commissioner Jonathan Adelstein
wrote in his
statement [PDF] regarding the adoption of this 2ndFNPRM that "One of our greatest
failings last time was that the expectations were not made clear upfront as to how the
network would look and what would be asked of a private sector partner. We have since
learned that potential private partners did not have the certainty they needed
to raise or commit capital to the project."

McDowell (at left) added that
"potential bidders were deterred by onerous build-out and service requirements that
required the eventual licensee to incur massive costs in an atmosphere of
extreme uncertainty regarding how many, if any, public safety entities might
actually sign up as paying customers".

Several statements by Commissioners relate that they will continue to pursue a model
based upon a privately built network, in partnership with public safety sector. For example,
Commissioner Adelstein wrote that "the public-private partnership
framework itself presents the only option available to us".

Nevertheless, the FCC's release describing the 2ndFNPRM asks "whether it remains
in the public interest, following the 700 MHz Auction, to retain a Public/Private
Partnership".

The FCC will pursue a multi-stage process. First, it is putting out the 2ndNPRM to pose
a wide array of open ended questions. Then, the FCC will put together a set of proposed
rules for the reauction of the D Block, and put out a 3rd NPRM to allow comment on its
proposal. Sometime in this process, the FCC will hold an en banc hearing.

The FCC release states that the FCC now seeks "comment, ideas, and recommendations
on how to revise the rules for the D Block".

FCC Chairman Kevin Martin wrote in
his statement
[PDF] that this 2ndFNPRM "is the first step in a renewed effort to provide our Nation's
first responders with the broadband network they need and deserve".

He said that subsequent steps will be a "Third Further Notice of
Proposed Rulemaking" (3rdFNPRM) and "an en banc hearing on these issues".

FCC Commissioner Michael Copps wrote
in his
statement [4 pages in PDF] the there will be "30 days for comments and 15 days for
reply comments" on the 2ndFNPRM. He said that the 3rdFNPRM "will tee up very
specific, proposed rules for the public-private sharing concept". He added that the
"en banc" event will be "this summer".

Commissioner Copps also wrote that the best option "would have been to build
a dedicated, federally-funded, interoperable national broadband network for
first responders", but that "that option is no longer on the table".

The FCC release states that the FCC "seeks comment on how the D
Block should be auctioned and licensed for commercial use if it were not
required to be part of a Public/Private Partnership."

Commissioner Copps complained that this 2nd FNPRM solicits "comment on the
possibility of stating, up-front, that if this auction does not yield a bidder it will be
re-auctioned for commercial purposes".

Commissioner Deborah Tate suggested
in her
statement that "auctioning the D Block with no public/private partnership and
minimal service rules might maximize the funds raised at auction, funds that then would be
available for Congress -- if it so chooses -- to appropriate for public safety
communications."

The FCC release enumerates many questions to be posed by the 2ndFNPRM. For example, the
release states that the notice asks "whether only entities that provide public safety
services, as defined in the Communications Act, are eligible to use the public safety
spectrum portion of the shared network established by the Partnership".

The FCC release also states that comments are "sought on the technical requirements
of the shared wireless broadband network".

Copps also asks the questions, "Is USF funding a possible answer? Or the
Telecommunications Development Fund?" The FCC release is silent on these questions.

Tate (at right) said that "When considering
broadband penetration in the U.S. -- and what policymakers might do to promote more of it
-- we should be mindful of the unique characteristics of the U.S. market. And when we
compare the U.S. market to that of other countries, we should be mindful of how
countries differ. For example, failure to properly consider differences in
household size or population density across countries can confuse the analysis."

She added that "This is not to say that there is no role for policy."

She discussed her vague and undefined "regulatory philosophy" of
the "light touch approach".

She said that the FCC has done many things in recent years to promote broadband,
including classifying broadband DSL, BPL and wireless services as information services,
changing the video franchising process, auctioning spectrum for wireless broadband services
in the 700 MHz auction, and seeking more information about broadband deployment.

She also discussed current FCC proceedings that relate to network management practices
of broadband service providers. She said that "As usage increases exponentially, the
need for reasonable network management becomes clear. At the same time, such reasonable
network management should be consistent with the Commissionís four principles of network
neutrality, adopted in 2005."

She added, "We again should be clear that we are talking about
legal content and applications." She elaborated that she is concerned about the
ability of new technologies, such as peer to peer, "to promote some of the most
harmful threats online -- child pornography, piracy, and privacy violations". She
did not reference "copyright" or "infringement".

Copyright Office Terminates Phantom
Signal Proceeding

5/7. The Copyright Office (CO) published a
notice in the Federal Register
announcing that it has terminated its proceeding regarding phantom signals.

On December 12, 2007, the CO published a
notice in the Federal Register that announced, described, and set comment deadlines
for, a Notice of Inquiry (NOI) regarding the meaning of the Copyright Act's term
"cable system", and issues related to the phantom signal phenomenon.

The CO wrote in its May 7, 2008, notice that "After reviewing the record in this
proceeding, the Copyright Office finds that it lacks the statutory authority to adopt rules
sought by the cable industry. The Copyright Office, however, clarifies regulatory policy
regarding the application of the 3.75% fee to phantom signals. This proceeding is
terminated." See, Federal Register, May 7, 2008, Volume 73, Number 89, at Pages
25627-25633.

5/12. The Competitive Enterprise Institute (CEI) published
a short essay titled "Selling Out Online
Advertising". The authors are the CEI's
Wayne Crews and
Ryan Radia. It concludes that
"Hypothetical privacy infringements hardly justify a new law to regulate online
advertising. The Internet can better serve customers as a realm with few top-down rules.
Lawmakers cannot foresee the technical achievements of tomorrow, but laws can indeed stop
pioneers in their tracks.

4/30. Copyright Office (CO) published a
notice in the Federal Register
that announces, describes, recites, and sets the comment deadline for, its proposed rule
changes regarding online group registration. The CO states that "this Notice
proposes to amend further the current regulations governing group registration to require
any applicant wishing to take advantage of group registration options to file the group
claim electronically within the reengineered registration system". The deadline to
submit comments is May 30, 2008. See, Federal Register, April 30, 2008, Vol. 73, No. 84,
at Pages 23390-23393.

The House will meet at 10:00 AM for legislative business. The House
will consider several non-technology related matters. Rep. Hoyer's
schedule for week of May 12, and
schedule for May 14.

The Senate will meet at 9:30 AM for
morning business. It will then resume consideration of HR 980
[LOC |
WW],
the "Public Safety Employer-Employee Cooperation Act of 2007", a bill to
promote by federal regulation the unionization of public safety personnel of
state and local governments.

9:30 AM. The Federal Communications
Commission (FCC) may hold an event titled "Open Meeting". The agenda may
include a Second Further Notice of Proposed Rulemaking related to the failed
D Block component of
Auction
No. 73 (700 MHz auction), and a Fourth Memorandum Opinion and Order on
narrowbanding. See,
notice.
Location: FCC, Commission Meeting Room, 445 12th St., SW.

RESCHEDULED FROM APRIL 21. 10:00 AM. The
Securities and Exchange Commission (SEC) will meet. The
agenda states that
the SEC "will consider whether to propose amendments to provide for corporate financial
statement information to be filed with the Commission in interactive data format, and a
near- and long-term schedule therefor." See,
notice of
postponement. Location: SEC, Room L-002, 100 F St., NE.

6:00 PM. Deadline to submit Short Form Applications to participate
in the Federal Communications Commission's (FCC)
Auction
No. 77. See also,
notice in the
Federal Register, May 8, 2008, Vol. 73, Number 90, at Pages 26112-26118.

Thursday, May 15

The House will meet at 10:00 AM for legislative business. Rep. Hoyer's
schedule for week of May 12.

TIME CHANGE. 10:00 AM. The
Senate Judiciary Committee (SJC) may hold an
executive business meeting. The agenda includes consideration of S 2913
[LOC |
WW], the
"Shawn Bentley Orphan Works Act Of 2008", and S 1738
[LOC |
WW], the
"Combating Child Exploitation Act". S 2913 degrades the remedies available
to copyright owners in civil actions for infringement of copyright. S 1738 would,
among other things, provide for more Department of Justice (DOJ) regional computer
forensic laboratories, and provide that "crimes against children" are
predicate offenses for the issuance of wiretap orders to state law enforcement
agencies. The agenda also includes consideration of the nomination of Steven Agee to be
a Judge of the U.S. Court of Appeals (4thCir).
See, notice. The
SJC rarely follows its published agendas. All three of these items were held over from
the May 8 meeting. Location: Room 226, Dirksen Building.

10:30 AM. The
House Ways and Means Committee
will meet to mark up HR __, a yet to be introduced bill that may be titled the
"Energy and Tax Extenders Act of 2008". The
research and development tax credit expired on December 31, 2007. Location:
Room 1100, Longworth Building.

12:00 NOON. The Heritage
Foundation will host an event titled "U.S. International Broadcasting on the
Frontlines of Freedom". The speakers will be James Glassman (Chairman of the
Broadcasting Board of Governors) and Helle Dale
(Heritage). Location: Heritage, 214 Massachusetts Ave., NE.

2:00 PM. The
Senate Committee on Foreign Relations will hold a hearing titled "U.S.
China Relations in the Era of Globalization". The witnesses will be
John
Negroponte (Deputy Secretary of State), Richard Haass (Council on Foreign
Relations), Kurt Campbell (Center for a New American Security), and Harry
Harding (George Washington University). See,
notice.
Location: Room 419, Dirksen Building.

2:00 PM. The Senate
Homeland Security and Governmental Affairs Committee's (SHSGAC) Subcommittee on
Oversight of Government Management, the Federal Workforce, and the District of Columbia
will hold a hearing titled "National Security Bureaucracy for Arms Control,
Counterproliferation, and Nonproliferation Part I: The Role of the Department of
State". See,
notice. Location: Room 342, Dirksen Building.

Friday, May 16

Rep. Hoyer's
schedule for week of May 12 states that "no votes are expected in the
House".

Extended deadline to submit reply comments to the
Federal Communications Commission (FCC) in response to
it Notice of Proposed Rulemaking (NPRM) regarding the Recommended Decision of the Federal
State Joint Board on Universal Service, released on November 20, 2007, regarding
comprehensive reform of high cost universal service taxes and subsidies. The FCC
adopted this NPRM on January 15, 2008, and released the text on January 29, 2008. It is
FCC 08-02 in WC Docket No. 05-337 and CC Docket No. 96-45. See, original
notice in the Federal Register, March 4, 2008, Vol. 73, No. 43, at Pages 11587-11591.
See also,
notice [PDF] of extension (DA 08-674).

Extended deadline to submit reply comments to the
Federal Communications Commission (FCC) in response to
it Notice of Proposed Rulemaking (NPRM) regarding the use of reverse auctions to
determine the amount of high cost universal service subsidies provided to eligible
telecommunications carriers serving rural, insular, and high cost areas. The FCC adopted
this NPRM on January 9, 2008, and released the text on January 29, 2008. It is FCC 08-05
in WC Docket No. 05-337 and CC Docket No. 96-45. See, original
notice in the Federal Register, March 4, 2008, Vol. 73, No. 43, at Pages 11591-11602.
See also,
notice [PDF] of extension (DA 08-674).

Extended deadline to submit reply comments to the
Federal Communications Commission (FCC) in response to its
Notice of Proposed Rulemaking (NPRM) regarding the FCC's rules governing the amount of high
cost universal service subsidies provided to competitive eligible telecommunications
carriers (ETCs). This NPRM also tentatively concludes that the FCC should eliminate the
existing identical support rule, which is also known as the equal support rule. The FCC
adopted this NPRM on January 9, 2008, and released the text on January 29, 2008. It is FCC
08-04 in WC Docket No. 05-337 and CC Docket No. 96-45. See, original
notice in the Federal Register, March 4, 2008, Vol. 73, No. 43, at Pages 11580-11587.
See also,
notice [PDF] of extension (DA 08-674).

Day one of a two day closed meeting of the
Department of Defense's (DOD) Defense Science Board regarding undisclosed topics.
See, notice in the Federal
Register, April 23, 2008, Vol. 73, No. 79, at Pages 21919-21920. Location: Pentagon,
Arlington, VA.

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